Finding Text
Education Stabilization Fund – Activities Allowed or Unallowed and Allowable Costs and Cost Principles Criteria or specific requirement Expenditures should only be incurred for the program if they have been deemed to meet program allowability requirements, which includes ensuring that no improper payments are made, that payroll charges are supported by required documentation, and that the cost was necessary and reasonable for the performance of the federal award. Condition 26 employees worked Summer School hours that were funded by Education Stabilization Fund monies, and while it was noted by staff that timesheets were prepared for these hours, they could not be located during audit procedures. Context Auditor tested four of the Summer School transactions that occurred during the year, and while all were found to have been paid at the correct hourly or daily rate, no support could be provided for the number of hours or days that were worked by the employees. Cause Due to turnover within the District, supporting documentation could not be located. Payments made to staff for Summer School wages were calculated based upon planned work hours and scheduled days, and it is unknown whether they were adjusted if the actual hours worked differed from those calculations due to the lacking documentation. Effect Sufficient supporting documentation could not be obtained for all transactions. Recommendation The District should carefully review all charges to the federal award in order to ensure that sufficient supporting documentation has been obtained, that correct payments are being made, and that no unreasonable or unnecessary charges exist. Views of responsible officials and planned corrective actions See Corrective Action Plan.